Some of Australia’s biggest retail property players, including Industry Superannuation Property Trust, Queensland Investment Corporation and
CFS Retail Property Trust,
are looking to buy Broadway on the Mall in Brisbane for a price that could reach $60 million.

At the same time, the funds are undertaking or have recently completed renovations on the mall as they work together to attract shoppers from the suburbs into the central business district.

Next month, ISPT will open the first stage of its revamped Wintergarden development directly opposite Broadway on the Mall.

Top retailers such as Swarovski, Georg Jensen, Rodd & Gunn and R.M. Williams will take prominent positions in the redevelopment, which also faces
CFS Retail
’s Queens Plaza, where Louis Vuitton and Tiffany & Co are housed.

While not commenting on the strategic importance of Broadway on the Mall, being marketed by Jones Lang LaSalle, ISPT managing director Daryl Browning said there was a focus to bring shoppers back into the city.

“Most of the CBDs around Australia have been revitalised as more people move into them to live," he said.

“And as an owner we see that we are competing with the suburbs and I think we are winning."

The Wintergarden redevelopment, being constructed by Brookfield Multiplex, will cost about $80 million. It will reshape the awkward pathways that shoppers used to walk through and bring in more natural light.

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An existing skybridge that linked the Wintergarden with Broadway has also been removed, opening up the mall to even more natural light.

The Wintergarden is also using tonnes of black granite to clad shopfronts and walkway ledges, matching CFS Retail’s Queens Plaza and QIC’s Albert and Queen development which houses clothing retailer Guess.

The use of such material has given the Wintergarden a European look. It has also given the big retail property owners the moniker of “the granite gang" in the retail industry.

QIC’s global real estate managing director,
Robert Carter
, said the tagline had “some merit given the recent and current activity".

Like Mr Browning, Mr Carter declined to comment on Broadway but agreed there was a push to bring in shoppers to the CBD’s mall and offer them a “higher’’ product that was not necessarily on offer in the suburbs.

“The working population in the CBD increased significantly during the last cycle and I think [the CBD] will continue to pick up market share given the unique array of merchandise and the critical mass of retailers."

While Queensland led a national drop in retail trade in March, with state turnover falling by 2.9 per cent over the month, Brisbane’s CBD is showing some positive long-term signs of recovery.

CB Richard Ellis estimates the CBD speciality store vacancy rates fell to 4.5 per cent at the end of 2010 from 5.2 per cent in the previous corresponding period.

The vacancy rate in Queen Street Mall and the surrounding shopping precinct sits at just 1.9 per cent. “Super prime" rents increased by 5 per cent in 2010 to an average $5567 per square metre.